CITY OF PHILADELPHIA Reducing and Avoiding Disconnections Through Affordability
Assistance has always been available for those who need it. Pre-TAP Assistance Programs Summary Homeowners Emergency Loan Program (HELP) Senior Citizen Discount Conservation Assistance Program (CAP) Charitable Organization Discount Cross Connection Abatement Program Water Revenue Assistance Program (WRAP) Basement Protection Program (BPP) Utility Emergency Services Fund (UESF) Approximate total of all assistance programs in fiscal year 2017: Over $ 34 million CITY OF PHILADELPHIA | Tiered Assistance Program
The Road to Affordability: Tiered Assistance Program (TAP) A City Council Ordinance and Water, Sewer and Storm Water Rate Board Decision requires the establishment of an assistance program that allows low-income customers to pay reduced rates based upon a percentage of their household income. December 1, 2015 June 8, 2016 July 1, 2017 November 19, 2015 IMPLEMENTATION Bill No. 140607-AA: Mayor Michael The Rate Board issued First day a An Ordinance Nutter signed the a decision that set customer can providing for the ordinance passed the parameters for submit an establishment of by City Council. the FY2017-2018 Rate application for the low-income rates. TAP program. CITY OF PHILADELPHIA | Tiered Assistance Program
Implementation Timeline March 2018 June 2016 January 2017 March 2017 July 2017 Process and Policy Development software and system design, testing, implementation Outreach to current WRAP customers Mail letters In January and ongoing as needed Outreach to all customers implementation of communications toolbox Workshops Review Program & Application Online and Program Call Ctr Customer resources Applications & Program Go-Live CITY OF PHILADELPHIA | Tiered Assistance Program
What is Different About TAP? • Monthly bills based on income which can range from 2- 4% of a customer’s total household income. Lowest income bracket may have a minimum bill of $12. • Proactive assistance to keep customers from becoming delinquent or in danger of disconnection. • Program is income-based and not a payment agreement, making bills more predictable and affordable. • Bills do not go up based on usage. Customers pay a set amount. • Past due amounts are suspended and not enforced upon while successfully enrolled in the program, preventing debt from increasing. • Earned forgiveness of prior penalties after 24 months of on-time payments • More accessible to customers through online, mobile friendly presence and robust language access. • Program accountability through enhanced metrics. CITY OF PHILADELPHIA | Tiered Assistance Program
Eligibility by Income at a Glance Extended TAP Payment Plan Income Income Income Income ≥151% Income 0-50% 51-100% 101-150% FPL & Special 151-250% FPL FPL FPL Hardship FPL Monthly bill Monthly bill Monthly bill Monthly bill Monthly capped at 2% capped at 2.5% capped at 3% capped at 4% payments of monthly of monthly of monthly of monthly toward arrears income income income income set so that total monthly bill is No payments No payments No payments No payments about 4% of toward arrears toward arrears toward arrears toward arrears monthly required required required required income Payment plan Payment plan Payment plan Payment plan offered if in offered if in offered if in offered if in danger of danger of danger of danger of disconnection disconnection disconnection disconnection CITY OF PHILADELPHIA | Tiered Assistance Program CITY OF PHILADELPHIA | Tiered Assistance Program
Assistance Successes Approved Applications Applications Submitted 29,674 29,674 17,811 17,811 Applicants Receiving Assistance 60% 60% CITY OF PHILADELPHIA | Tiered Assistance Program
Declining Disconnections 35000 30000 Number of Disconnections 25000 20000 15000 10000 5000 0 2016 2017 2018 Calendar Year CITY OF PHILADELPHIA | Tiered Assistance Program
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